Balanced Scorecard Office of the Vice

President of Business Affairs

Division of the Vice President for Business Affairs

Introductions

• Project Sponsor: Cindy Villa Vice President of

Business Affairs

• Project Facilitator/Oversight: Dr. Victor

Pacheco

• Project Manager: Ruben R. Chavira

General Overview of the Balanced Scorecard

The Balanced Scorecard is a performance managementsystem that aligns business activities with the strategies,mission, and vision of an organization. It usesperformance measurements to monitor organizationalperformance against strategic goals.

▫ Provides a “balanced” view of an organization through use of financial/non-financial and internal/external measurements.

▫ Promotes data-driven decision making.

▫ Promotes continuous improvement.

The Balanced Scorecard: The Four PerspectivesThe Balanced Scorecard views an organization from four key “Perspectives”. Performance metrics are categorized in the following four key areas:

Financial Customer Internal Processes Employee Learning and Growth

Financial Perspective

How do we look to resource providers?

Customer Perspective

How do customers see us?

Internal Process Perspective

Are we productive and effective?

Employee & Learning Perspective

How do our employees feel?

Alignment of Business Activities with Divisional and Institutional Missions

Every January all departments in the Division develop Strategic Operating Plans. EachDepartmental Strategic Operating Plans describe departmental mission and visionstatements and define measureable goals and objectives that support the Mission and Visionof the Division and in turn the University.

EXAMPLES:

University Bookstore Goal 1: Improve merchandise selection, especially in apparel and gifts.

Task 1: Meet with students, administrators, alumni, store planners, and other constituents. Progress Measurement 1: Sales Progress Measurement 2: Customer satisfaction scores Responsible Individual: Annabelle Martinez Target Completion Date: September 1, 2009 and ongoing University Compact Priority: (5) Increased efficiency and Effectiveness Balanced Scorecard: Customer Perspective and Financial Perspective

▫ Payroll Goal 2: Decrease institutional costs associated with hardcopy distribution of earnings statements and

W-2’s by increasing participation in the “paperless” option as both an efficient and eco-friendly means of delivery

Task 1: Develop comparative cost analysis of paper vs. electronic distribution Progress Measurement: Cost Savings Responsible Individual: Olaya Hernandez/Tessy Rappe Target Completion Date: July 1, 2009 and Ongoing University Compact Priority: (5) Increased Efficiency, (7) Infrastructure Support Services Balanced Scorecard: Financial Perspective, Customer Service Perspective

Alignment (Cont.)

• VPBA Strategic Operating Plans: Examples of objectives from Operating plans. (Cont.)Facility Services

Goal 3: Expand and enhance preventive maintenance, predictive maintenance and recurring maintenance programs. Progress Measurement: Ratio of maintenance man hours to service workman hours; ratio of

average age of work orders and Number of open work orders; Responsible Individual: Luis Morales Targeted Completion Date: August 2009 UTEP Compact Priority: (5) Increased Efficiency Balanced Scorecard: Internal Process Perspective

Financial PerspectiveTo satisfy our constituents, what financial and

regulatory objectives must we accomplish?

VPBA Financial Performance Measures:•Student Business Services-Financial Services

•Year 1 - Bad Debt Ratio - All Receivable Balances.

•Sodexho University Food Services-Auxiliary Services•Commission Sales- Retail Sales, Catering Sales, Concession Sales.

Customer PerspectiveWhat are the needs of our customers ? Who are our

customers? Both Internal and External? How do customers see us?VPBA Customer Perspective Performance Measures•Customer Satisfaction Surveys

•Student Satisfaction Surveys•Faculty and Staff Satisfaction Surveys

• Secret Shoppers

•Internal Departmental Surveys (Customer Target Surveys)

Customer PerspectiveOffice of the Vice President for Business Affairs

Customer Satisfaction Survey: 2009Students

FY 05-06 FY 06-07 FY 07-08 FY 08-09 (Fall 2008) FY 08-09 (Spring 2009)

Customer PerspectiveOffice of the Vice President for Business Affairs

Customer Satisfaction Survey: 2008Faculty and Staff

FY 05-06 FY 06-07 FY 07-08 FY 08-09 (Fall 2008)

Internal Process PerspectiveTo satisfy our customers, in which business processes

must we excel?• VPBA Internal Process Perspective Performance

Measures•Accounts Payable Cycle Time:

•VP1(BIS Define Document) Average Cycle Time of Purchase Order Payments - Document Creation to Final Approval •VP5 (BIS Define Document) Average Cycle Time of Travel Reimbursements - Average Department Time to Final Approve Voucher

• Facility Services completion rate of internal process:•Percentage of Work orders Completed within 90 days •WO Billing - Closed Posted Service WO

Process Evaluation and MappingMapping of Key VPBA Business Processes (Travel Process Map

shown)

Employee PerspectiveTo achieve our goals and accomplish core activities,

how must we learn, communicate and work together? Are our employees happy?

• VPBA Employee Perspective Performance Measures

• Employee Satisfaction Survey

• Staff Training and Development•Customer Satisfaction Training•Leadership Development Training

Employee Perspective

Office of the Vice President for Business AffairsEmployee Satisfaction Survey: 2009

FY 05-06 FY 06-07 FY 07-08 FY 08-09 (Fall 2008)

Tools for Monitoring Key Metrics and Survey DataCognos Metric Studio

Tools for Monitoring Key Metrics and Survey Data

Improvements that have been Yielded within the Division

▫ Parking and Transportation Customer Satisfaction—Miner Metro (Customer Perspective)

▫ Facility Services Process Improvement for Work Order Turn Around time (Process Perspective)

▫ Student Business Services Monitoring of Bad Debt Ratios (Financial Perspective)

▫ Customer Satisfaction of All VPBA Employees (Employee Learning and Growth and Customer Satisfaction Perspective)

Future Plans and Opportunities

▫ Expand Process Mapping analysis throughout the Division.

▫ Automation of data collection to achieve real-time reporting of dashboards and outcomes assessment

▫ Performance assessment and Balanced Scorecard training for the Division’s middle management and line-staff employees.

▫ Leadership development training for the Division’s middle-level management staff.